Disney is forking over a ton of cash in order to buy 20th Century Fox.
They may have already acquired Marvel Studios, who continues to bring in big bucks at the box office, and the rights to the Star Wars universe via Lucasfilm, but Disney's apparent quest for world domination is far from over. The Mouse is set to acquire 21st Century Fox and it's subsidiaries and, according to information on the company's website, that kind of purchase isn't coming cheap.
The Walt Disney Company issued a statement online earlier this morning detailing the financial minutia and other provisions that are part of the deal. "The acquisition of this stellar collection of businesses from 21st Century Fox reflects the increasing consumer demand for a rich diversity of entertainment experiences that are more compelling, accessible, and convenient than ever before," Bob Iger, Disney's CEO, said. He'll now keep the keys to the Magic Kingdom through the end of 2021.
For the price of $52.4 billion (in stock), Disney will acquire 21st Century Fox's film and television studios, cable entertainment networks and international TV businesses. The deal also includes entertainment properties including X-Men, Avatar, The Simpsons, FX Networks and National Geographic and extensive international properties, including Star in India and Fox’s 39% ownership of Sky across Europe.
Finally, Disney will also become responsible for roughly $13.7 billion of net debt at 21st Century Fox. There's no word on whether or not this changes the procedure for movies and/or television programming that is already in production or slated for release in the near future. One thing is for sure: investors in Disney just saw their portfolios grow considerably.